Simon Hinesworth, managing director of corporate and sporting events, shares his thoughts on beneficial impact events that will have on the local and national economies.
When athletes and businessmen gather for sports and corporate events, they don’t just create opportunities for people in the stadium or conference hall to win. They support the entire industrial infrastructure, create new job opportunities and bring money to the local area.
The event industry is at the heart of a network of sectors that benefit from successful sports and corporate opportunities, thus providing much needed economic boosts both locally and nationwide.
Big Name
The UK business events industry is worth an estimated £6.165 billion, while sporting events donate around £39 billion a year. Behind all major events is a network of profitable industries, from construction company buildings to hospitality providers, sponsors, logistics and transportation services.
As seen at events like Wimbledon, the ripple effects are enormous. This brings an estimated £200 million to London’s economy each year, and Birmingham 2022 Commonwealth Games has generated nearly £1.2 billion. In 2023 alone, 16 major sporting events in the UK provided a 6:1 return on investment, totaling £373 million.
Globally, its impact is just as important. Business events such as Gary Vaynerchuk’s VeeCon in Minneapolis have brought in $21 million in financial benefits and attracted thousands of visitors, including 2,000 international participants. Another major player, Singapore will host global gatherings such as the Global Business Summit, attracting 45,000 representatives and 2,000 speakers. The event sector, worth $33.6 million in 2022, is expected to almost triple by 2032, highlighting the growing economic importance of the global event industry.
It’s small but powerful
Global events often grab headlines, but it is the small gatherings of millions of people each day that quietly drive the local economy. A two-day meeting with just 200 representatives will allow you to fill nearby hotels, drive your business to local bars and restaurants, and increase the demand for transportation, catering, printing, marketing, logistics and branded products.
Research shows that in the US all dollars spent on in-person events generate an additional $1.60 in economic benefits, a trend reflected worldwide.
When the economic impact of these small events adds the economic impact of large meetings and sports equipment, the scale of the contribution of the event industry is undeniable. These are not just networking and entertainment moments, but also important economic factors. As the UK navigates its economic challenges, it is time for the event sector to talk about its value and promote stronger government support to sustain and grow this important industry.
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